Key Points for Running Intercompany Elimination

• You can run intercompany elimination only from the Period Close Checklist.

• You can run intercompany elimination for all accounting books, the primary accounting book, and any secondary accounting book.

• You can run intercompany elimination multiple times for a period.

• You can drill down from elimination results to view the elimination journal entries’ details.

  Note:

  If you use the Use Journal Entry Summarization on Intercompany Elimination accounting preference, similar elimination journal entries are grouped into a single, summarized journal entry. See Summarized Intercompany Elimination Journal Entries.

• You must have the administrator role or a financial user role with period closing privilege at the parent-level to run intercompany elimination.

• When you run intercompany elimination, the system runs the process for all subsidiaries in your organization. You cannot eliminate intercompany transactions by subsidiary.

• In multiple level hierarchies and elimination subsidiaries, NetSuite posts elimination journal entries to the elimination subsidiary for the least common parent node of both subsidiaries.

  • If one subsidiary is a parent subsidiary of another, NetSuite uses the elimination subsidiary under the parent subsidiary.

  • If two subsidiaries do not have a parent-child relationship, NetSuite uses the elimination subsidiary for the first level parent they have in common.

• NetSuite eliminates reversal advanced intercompany journal entries (AICJE) in the same period in which they post. If you post an AICJE and its reversal AICJE in the same period, the net amount from the pair of elimination journal entries is 0.

Related Topics:

• Cumulative Translation Adjustment-Elimination (CTA-E)
• Intercompany Elimination Example
• Intercompany Elimination Overview

General Notices